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Robert · Accepted Answer

Answer to 1: 
Health care economics is a sub-discipline of economics that concerns with issues 
such as, efficient allocation of health resources, effectiveness, behavior and value in 
the consumption and production of health and health care. It studies the 
functioning of health care machinery as well as health affecting behavior such as 
“alcohol drinking”. In other words, health care economics is division of economics 
that focuses on scarcity in health care system, identifies problem and provide 
solutions for pressing issues by conducting costs and benefits analysis. 
Answer to 2: 
a)
b) 
The relationship is casual because nosocomial infection is inversely related to and 
caused by hospital infection program. If hospitals are spending less on hospital 
infection program, they are more likely to acquire a nosocomial infection. 
c) 
The slope of relationship is negative i.e. less than zero, implying that nosocomial 
infection and hospital infection programs are inversely related. 
d) 
The relationship could be linear or non-linear depending upon how nosocomial 
infection responds to hospital infection programs; if with each one unit change in 
the expenditure done on hospital infection programs, the nosocomial infection is 
changing by a fixed amount, we would say that the relationship is linear, on the 
other hand, if change in the expenditure done on hospital infection programs 
causes the nosocomial infection to change in a unexpected manner, we would say 
that the relationship is non-linear. But what is certain is that two variables are 
negatively related.  
e) 
As long as, the line is showing a negative relationship between nosocomial infection 
and hospital infection programs, the position of the line on the graph does not 
matter. But if the relationship is reversed, then it would create problem.
Answer to 3: 
a) 
Three inputs = nursing hours, bed days,

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